DOCSLIB.ORG

CONVEYANCERS LICENSING ACT 1992 No

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
CONVEYANCERS LICENSING ACT 1992 No CONVEYANCERS LICENSING ACT 1992 No. 55 NEW SOUTH WALES TABLE OF PROVISIONS PART 1—PRELIMINARY 1. Short title 2. Commencement 3. Definitions 4. Conveyancing work 5. Disqualified persons PART 2—LICENSING Division 1—Preliminary 6. Effect of licence 7. Procedure for obtaining a licence 8. Licensee to have paid fidelity contribution 9. Licensee to be covered by an approved policy of professional indemnity insurance Division 2—Certificates of eligibility 10. Applications for certificates of eligibility 11. Committee may require further particulars 12. Determination of applications 13. Imposition of conditions 14. Notice of Committee’s decision to be given 15. Duration of certificates of eligibility 16. Withdrawal of certificates of eligibility ii Conveyancers Licensing Act 1992 No. 55 Division 3—Licences 17. Applications for licences 18. Determination of applications 19. Duration of licences 20. Suspension and cancellation of licences Division 4—Appeals 21. Appeals PART 3—CONVEYANCING PRACTICE Division 1—GeneraI 22. Effect of contravention of Division 1 23. Fees 24. Nature of conveyancing business 25. Attendance at business premises 26. Business names 27. Sharing of receipts with unqualified persons 28. Employment of disqualified persons 29. Sharing staff of legal practitioners and real estate agents etc. 30. Advertising 31. Conduct of other businesses 32. Committee may establish guidelines for conduct of conveyancing business Division 2—Trust money and controlled money 33. Money received by licensee on behalf of another 34. Keeping of accounts 35. Audits 36. Deposit of trust funds with Law Society 37. Money not claimed from licensee 38. Relief for bankers Division 3—Inspection of trust accounts and investigations generally 39. Appointment of trust account inspectors etc. 40. Production of records 41. Inspectors' reports 42. Costs of inspection and investigation 43. Secrecy 44. Obstruction of inspectors etc. PART 4—CLAIMS ARISING FROM FAILURES TO ACCOUNT Division l—Preliminary 45. Definitions 46. Failure to account iii Conveyancers Licensing Act 1992 No. 55 Division 2—Fidelity insurance 47. Association to take out fidelity insurance 48. Contributions by licensees Division 3—Claims against the Association in respect of failures to account 49. Claims against the Association 50. Reimbursement of licensees and others 51. Final date for making claims 52. Claims must be pursued 53. Determination of claims 54. Avoidance of double compensation 55. Ceiling on payments by the Association 56. Proceedings against the Association 57. Association subrogated to rights etc. of claimants 58. Insufficiency of the assets of the Association PART 5—MANAGEMENT AND RECEIVERSHIP Division l—Preliminary 59. Definitions 60. Associate 61. Failure to account Division 2—Management 62. Appointment of manager 63. Qualifications for appointment as manager 64. Powers of manager 65. Management continues under receivership 66. Acts of manager to be taken as acts of licensee 67. Manager may be reimbursed for damages 68. Payment of expenses of management 69. Manager to report to Council and Association 70. Trust money 71. office accounts 72. Termination of management 73. Obstruction of managers Division 3—Receivership 74. Supreme Court may appoint receiver 75. Receivership may extend to property of licensee’s associate 76. court to be closed 77. order to be served 78. Receiver may take possession of property 79. Information about receivable property 80. Stop order on bank account 81. Improper dealing with property iv Conveyancers Licensing Act 1992 No. 55 82. Recovery of compensation for disposal of receivable property 83. Receiver may give certificate 84.' Receiver. taken to be beneficially entitled to property 85. Receiver may deal with property 86. Other powers of receiver 87. Notice to claim receivable property 88. Lien for costs on receivable property 89. Examination by receiver 90. Property not dealt with by receiver 91. Investment of money by receiver 92. Receiver may be reimbursed for damages 93. Payment of expenses of, receivership 94. Supreme Court may review expenses of receivership 95. Receivable property not to be attached 96. Applications for directions by receiver, licensee etc. 97. Supreme Court may give general directions to receiver 98. Receiver to report to the Supreme Court etc. 99. Termination of appointment of receiver 100. Obstruction of receivers PART 6—DISCIPLINARY PROCEEDINGS Division 1—Preliminary 101. Application to ex-licensees 102. Conduct amounting to an offence 103. The Legal Profession Conduct Review Panel 104. The Legal Profession Standards Board 105. The Legal Profession Disciplinary Tribunal Division 2—Complaints against licensees 106. Complaints 107. Council may require further particulars 108. Summary dismissal of complaints 109. Investigation of complaints 110. Consultation with the Committee 111. Decisions of the Council 112. Council may make complaint after consultation with the Committee Division 3—Review of the Council's decisions 113. Applications for reviews 114.. Composition of the Panel 115. Reviews 116. Recommendations of the Panel 117. Determinations by the Attorney General v Conveyancers Licensing Act 1992 No. 55 Division 4—Unsatisfactory professional conduct 118. Composition of the Board 119. Hearings 120. Parties 121. Hearings to be conducted in camera 122. Power to summon witnesses and take evidence 123. Power to obtain documents 124. Release of information 125. Determinations of the Board Division 5—Review of the Board's decisions 126. Applications for reviews 127. Composition of the Tribunal 128. Parties 129. Reviews 130. Decisions of the Tribunal 131. Professional misconduct Division 6—Professional misconduct 132. Composition of the Tribunal 133. Hearings 134. Parties 135. Hearings to be conducted in public 136. Power to summon witnesses and take evidence 137. Power to obtain documents 138. Release of information 139. Determinatians of the Tribunal 140. Appeals from orders of the Tribunal Division 7—Miscellaneous 141. Enforcement of orders 142. Payment of fines and costs 143. Costs of administering Part 6 144. Reports 145. Protection from liability PART 7—THE CONVEYANCERS LICENSING COMMlTEE 146. Constitution of the Committee 147. Membership of the Committee 148. Functions of the Committee 149. Education subcommittee 150. Insurance subcommittee 151. Advisory subcommittees 152. Staff etc. of the Committee vi Conveyancers Licensing Act I992 No. 55 PART 8—MISCELLANEOUS 153. Committee and Association to submit annual reports 154. Functions of the Council 155. Functions of the Association 156. Delivery up of documents 157. Auditors 158. Register of licensees 159. Evidentiary certificates 160. Proceedings for offences 161. Order restraining breach of this Act 162. Regulations 163. Amendment of other Acts 164. Savings, transitional and other provisions SCHEDULE 1—THE CONVEYANCERS LICENSING COMMITTEE SCHEDULE 2—AMENDMENT OF OTHER ACTS SCHEDULE 3—SAVINGS, TRANSlTIONAL AND OTHER PROVISIONS DICTIONARY OF WORDS AND EXPRESSIONS affairs Law Society Association licence Board licensee committee money controlled money money received conveyancing business Panel conveyancing work professional misconduct costs record council Statutory Interest Account disqualified person Tribunal exercise a function trust money firm of licensees unsatisfactory professional conduct function CONVEYANCERS LICENSING ACT 1992 No. 55 NEW SOUTH WALES Act No. 55, 1992 An Act to provide for the licensing and regulation of conveyancers; and for other purposes. [Assented to 8 October 1992] 2 Conveyancers Licensing Act 1992 No. 55 The Legislature of New South Wales enacts: PART l—PRELIMINARY Short title 1. This Act may be cited as the Conveyancers Licensing Act 1992. Commencement 2. (1) This Act commences on a day or days to be appointed by proclamation, except as provided by subsection (2). (2) The following provisions commence on the date of assent: (a) Parts 1 and 7; (b) Schedules 1, 2 and 3 (except for item (9) of the matter in Schedule 2 that relates to the Legal Profession Act 1987); (c) the Dictionary at the end of the Act. Definitions 3. (1) In this Act, the words and expressions appearing in the Dictionary at the end of this Act have the meanings given to them in that Dictionary. (2) Certain words and expressions used in Part 4 (Claims arising from Failures to Account) are defined in Division 1 of that Part. (3) Certain words and expressions used in Part 5 (Management and Receivership) are defined in Division 1 of that Part. Conveyancing work 4. (1) For the purposes of this Act, conveyancing work is legal work carried out in connection with any transaction that creates, varies, transfers or extinguishes a legal or equitable interest in residential property or that otherwise affects residential property. Without limitation, conveyancing work includes: legal work involved in preparing any document (such as an agreement, conveyance, transfer, lease or mortgage) that is necessary to give effect to any such transaction; and legal work (such as the giving of advice or the preparation, perusal, exchange or registration of documents) that is consequential or ancillary to any such transaction; and 3 Conveyancers Licensing Act 1992 No. 55 (c) any other legal work that is prescribed by the regulations as constituting conveyancing work for the purposes of this Act. (3) However, conveyancing work does not include the carrying out of any work for the purpose of: (a) commencing or maintaining legal proceedings; or (b) establishing a corporation or varying the
Load more

Recommended publications
  • Risk Management Self-Assessments
    Australian Institute of Conveyancers (NSW Division) RISK MANAGEMENT SELF-ASSESSMENTS Introduction and the Risk Management Program: The Australian Institute of Conveyancers NSW Division (the Institute) first introduced the Risk Management Program in the year 2000. At the time, it was introduced as a tool to assist members in the running of their files and practice to reduce the stresses of day-to-day file and business management and to help reduce the likelihood of a professional indemnity claim. The program was updated in 2005 and made mandatory for all Business Owner Members wishing to receive the Institute’s member discount on the PI insurance policy. Originally, the program required a mandatory annual inspection of the participating member’s business. By 2010, the membership had increased to the point where mandatory annual physical inspections were no longer possible and the program was changed to allow for a mandatory annual online self-assessment together with random physical inspections. To meet the requirements of the program, a business owner member must be able to show: • a reasonable knowledge of risk management procedures (as evidenced by the annual online self- assessment and any physical assessment conducted on the conveyancer’s business), • that a risk management program has been put in place; and • all staff members are familiar with and are uniformly following the risk management procedures set down by the business owner. The program also requires that the business owner’s files be conducted at least in the manner set out in the guidance manual (as discussed below) where it is practical to do so.
    [Show full text]
  • Secrets of Conveyancing What Conveyancers and Estate Agents Don’T Tell You
    Secrets of Conveyancing What Conveyancers and Estate Agents Don’t Tell You Introduction I am a former Solicitor, Licensed Conveyancer and Legal Executive with over 29 years’ experience in private practice and running my own firm as well as being a partner dealing with mainly property matters, both commercial and residential. In England and Wales, certain aspects of conveyancing (which is the business of transferring legal ownership of land and buildings) can only be carried out for a fee, reward or gain by solicitors, licensed conveyancers and curiously, barristers. One of the many misconceptions of conveyancing is that it is straightforward and simple, yet year in year out it still accounts for over a third of all negligence and/or breach of contract claims against law firms. Despite what you may have been told or read in the newspapers, land law in this country is still very complex and the Land Registry really only records a fraction of the true position. Yet notwithstanding its complexity, time and time again law firms will delegate residential conveyancing to their most junior members of staff, some with little or no qualifications or experience, to make it financially viable, bearing in mind a senior Solicitor in private practice even in the provinces will probably charge out at between £150 - £200 per hour. It occurs to me that calling a qualified property lawyer a “conveyancer” is rather like referring to a family lawyer as a “divorcer.” In 2007 there were 4446 sole practitioners and 4237 practices with 2 – 4 partners. Combined these firms represented 86% of all solicitors practices in England and Wales employing 31% of qualified solicitors.
    [Show full text]
  • Sellers Guide from Nationwide
    Home Guides FOR SALE An easy, step-by-step guide to selling your home If you are thinking about selling your home, this guide is for you! Your home is probably your largest financial asset, so it’s not surprising that the thought of the whole selling process can be a daunting one. So whether you are a first time seller or just want to remind yourself how it all works, this guide will take you through the necessary steps to successfully selling your home. Read straight through the Guide or jump to a particular section of interest as outlined on our contents page. We’ve included a user-friendly glossary to help you make sense of the jargon! You can find all purple words throughout the Guide in the glossary. If you are looking to buy, why not check out our new Buyers Guide, SOLD which will help steer you through the whole process, giving you handy tips along the way. Provided by Part of www.NationwideEducation.co.uk. Independent of Nationwide products and services. Selling Guide Home Guides Selling Guide CONTENTS Click on a Step to jump straight to that section. Step 1: Things to consider before you sell Step 9: Property not selling? Step 2: Where to begin Step 10: Getting organised to move out Step 3: Preparing to sell Step 11: Moving Day action plan and checklist Step 4: How much is your house worth Step 12: After the move Step 5: Selling through an estate agent Step 13: Top Tips for selling or privately Step 14: Frequently Asked Questions Step 6: Getting the most out of viewings Appendix Step 7: Legal work a) What does all this jargon
    [Show full text]
  • Registrar's Requirements for Paper Conveyancing
    Registrar’s requirements for paper conveyancing transactions Section 106A Transfer of Land Act 1958 Version 1 – Published 30 September 2015 Land Victoria Department of Environment, Land, Water and Planning 570 Bourke Street Melbourne VIC 3000 Phone: (03) 8636 2010 Fax: (03) 8636 2999 Web: www.delwp.vic.gov.au > Property and land titles > Surveying © The State of Victoria Department of Environment, Land, Water and Planning 2015 This work is licensed under a Creative Commons Attribution 4.0 Australia licence. You are free to re-use the work under that licence, on the condition that you credit the State of Victoria as author. The licence does not apply to any images, photographs or branding, including the Victorian Coat of Arms, the Victorian Government logo and the Department of Environment, Land, Water and Planning logo. To view a copy of this licence, visit http://creativecommons.org/licenses/by/4.0/ Accessibility If you would like to receive this publication in an alternative format, please telephone the DELWP Customer Service Centre on 136186, email [email protected] or via the National Relay Service on 133 677 www.relayservice.com.au . Disclaimer This publication may be of assistance to you but the State of Victoria and its employees do not guarantee that the publication is without flaw of any kind or is wholly appropriate for your particular purposes and therefore disclaims all liability for any error, loss or other consequence which may arise from you relying on any information in this publication. Contents Registrar’s Requirements 2 1. Preliminary 2 2.
    [Show full text]
  • SLC Call for Evidence Submission Ongoing Competence
    LSB Call for Evidence: Ongoing Competence Response from The Society of Licensed Conveyancers Introduction The Society of Licensed Conveyancers (‘the Society’) is the professional body (formed in 1988) representing Licensed Conveyancers and Licensed Probate Practitioners (‘LC’) regulated by the Council for Licensed Conveyancers. It is independent of but maintains good relations with the Council for Licensed Conveyancers (‘CLC’) and is governed by an elected board of Directors. In 2013, the Society to open its membership to Solicitors and Legal Executives who can join as Associates and enjoy all the benefits of membership. The CLC ‘Continuing Professional Development Code and Framework’ requires a LC to keep an up to date training record recording continuing education and training in recognised courses in each licence year (1st November to31st October). For each LC manager the minimum requirement is 12 hours if they only hold a conveyancing licence or 16 hours if they hold both a conveyancing and probate licence. For a LC, other than a manager, the requirements are 6 and 8 hours respectively. On each licence renewal the LC must declare that the annual training record for CPD is true and accurate and, if requested by the CLC, provide documentary evidence in support. To support LCs in achieving the required hours the Society holds roadshows, workshops, webinars and other CPD activities throughout the year as well as holding an Annual Conference that is well established and has a great reputation for delivering a well-structured and highly topical agenda (which allows members to claim up to 6 hours CPD on the day).
    [Show full text]
  • Gf, 5, Grosvenor Gardens, Edinburgh, Eh12
    HOME REPORT GF 5 GROSVENOR GARDENS EDINBURGH EH12 5JU ENERGY PERFORMANCE CERTIFICATE YouEnergy can use this Performance document to: Certificate (EPC) Scotland Dwellings FLAT 1 , 5 GROSVENOR GARDENS, EDINBURGH, EH12 5JU Dwelling type: Mid-floor flat Reference number: 2821-1913-0200-0880-2200 Date of assessment: 22 October 2020 Type of assessment: RdSAP, existing dwelling Date of certificate: 28 October 2020 Approved Organisation: Elmhurst Total floor area: 85 m2 Main heating and fuel: Electric storage heaters Primary Energy Indicator: 551 kWh/m2/year You can use this document to: • Compare current ratings of properties to see which are more energy efficient and environmentally friendly • Find out how to save energy and money and also reduce CO2 emissions by improving your home Estimated energy costs for your home for 3 years* £5,319 See your recommendations report for more Over 3 years you could save* £3,303 information * based upon the cost of energy for heating, hot water, lighting and ventilation, calculated using standard assumptions Very energy efficient - lower running costs Current Potential Energy Efficiency Rating (92 plus) A This graph shows the current efficiency of your home, (81-91) B taking into account both energy efficiency and fuel costs. The higher this rating, the lower your fuel bills (69-80) C 79 are likely to be. (55-68) D Your current rating is band E (45). The average rating for EPCs in Scotland is band D (61). (39-54 E 45 (21-38) The potential rating shows the effect of undertaking all F of the improvement measures listed within your (1-20) G recommendations report.
    [Show full text]
  • International Law Practicum a Publication of the International Law and Practice Section of the New York State Bar Association
    NYSBA SPRING 2003 | VOL. 16 | NO. 1 International Law Practicum A publication of the International Law and Practice Section of the New York State Bar Association Practicing the Law of the World from New York ARTICLES: International Trademark Protection in the United States and the European Community............................................................................. 3 L. Donald Prutzman International Title Insurance................................................................................... 11 John E. Blyth Products Liability Prevention: What Every International Business Should Know About Selling Products in the United States.............................. 43 John F. Zulack and Jennifer K. King Jurisdiction and Choice of Law in Cyberspace in Europe..................................... 48 Marco Berliri Ten Important Points to Remember About International Estate Planning......... 53 Michael W. Galligan Doing Business in China After Its Accession to the World Trade Organization ........................................................................ 63 George A. Ribeiro Liability Online: Choice of Law and Jurisdiction on the Internet, or Who’s in Charge Here? .................................................................................... 66 Andre R. Jaglom Harmonization of Rules of Origin and Developments in Antidumping ............. 74 Jon R. Johnson Section Executive Committee—Officers, Section Committee Chairs and Co-Chairs and International Division Chapter Chairs and Co-Chairs................................. 83
    [Show full text]
  • New South Wales Review of the Conveyancers Licensing Act 1995
    National Competition Policy Review and statutory review under section 95 of the Conveyancers Licensing Act 1995 Final Report DEPARTMENT OF FAIR TRADING NSW Consumer Protection Agency Table of Contents 1. EXECUTIVE SUMMARY AND RECOMMENDATIONS ..................................... 1 Background to the Review........................................................................................... I The regulation of Conveyancers.................................................................................. I The Act's objectives .................................................................................................... 1 Justification for government interventim .................................................................... 2 Effects of the licensing regime on competition ........................................................... 3 Evaluation of the net public benefit ofthe current regime .......................................... 3 Alternate regulatory options ........................................................................................ 4 Conclusions .................................................................................. ,................... .. ......... 5 RecolIllllCndations ....................................................................................................... 6 2. BACKGROUND TO THE REViEW ................................................................... 10 National Competition Policy and statutory review obligations ........................ ,........ 10 Marketfailure and consumer
    [Show full text]
  • Sets out the Regulatory Responsibilities for Licensed Conveyancers Contents
    Sets out the regulatory responsibilities for Licensed Conveyancers Contents CLC Handbook Pages Introduction: Outcomes-Focused Regulation 3 - 6 Regulatory Arrangements/Responsibilities – Universal 3-58 Code of Conduct 7 - 16 Accounts Code 17-26 Anti-Money Laundering and Combating Terrorist Financing Code 27-29 Complaints Code 30-31 Conflicts of Interest Code 32-33 Continuing Professional Development Code 34-35 Dealing with Non-Authorised Persons (third parties) Code 36-38 Disclosure of Profits and Advantages Code 39-40 Equality Code 41-42 Estimates and Terms of Engagement Code 43-45 Management and Supervision Arrangements Code 46-47 Notification Code 48-50 Professional Indemnity Insurance Code 51-54 Transactions File Code 55-56 Undertakings Code 57-58 Regulatory Arrangements – Specific Acting as Insurance Intermediaries Code 59-65 Acting for Lenders and Mortgage Fraud Code 66-72 Licensed Body (ABS) Code 73-76 Litigation & Advocacy Supplementary Code 77-78 Recognised Body Code 79-81 Other Frameworks: links to 82 a) Compensation Fund Operating Framework b) Continuing Professional Development Framework c) Professional Indemnity Insurance Operating Framework Regulation and Enforcement Policy 83-101 Glossary of Terms 102-119 Words presented in bold/italicised font – such as Compensation Fund above – are defined in the Glossary of Terms provided at the rear of this Handbook. 2 Introduction - Outcomes-focused Regulation The Legal Services Act The 2007 Act introduced Regulatory Objectives championing the interests of consumers of legal services: Protecting and promoting the public interest; Supporting the constitutional principle of the rule of law; Improving access to justice; Protecting and promoting the interests of consumers; Promoting competition in the provision of services; Encouraging an independent, strong, diverse and effective legal profession; Increasing public understanding of the citizen’s legal rights and duties; and Promoting and maintaining adherence to the professional principles.
    [Show full text]
  • Conveyancing Crammed Into Bitesize Chunks: First Bites
    Conveyancing Crammed into Bitesize Chunks: First Bites. FOR SALE Contents Chapter 1: Getting/Steadying Your Home Ready for Sale: 1 Is Your House All Ship Shape and Bristol Fashion? Chapter 2: 10 Timely Top Tips To Help You 3 Choose The Right Estate Agent 7 Chapter 3: Choosing the Right Conveyancer For You 10 Chapter 4: New House, No Survey: A Gigantic Mistake? Chapter 5: 10 Property Websites You Simply 13 Must Visit Before You Buy Clutton Cox | Conveyancing Crammed into Bitesize Chunks: First Bites. | Contents But enough: you’re already ahead of me. What if you are thinking of selling soon? Chapter 1 Spring is in the Housing Market Air Spring is the optimum time for putting your property on the market for sale. Estate Agents just love the Spring. The Housing Market Getting/Steadying Your traditionally stirs, and more Buyers are lured from their Winter hibernation. Home Ready for Sale: Winter’s drab appearance is making way for the optimism and colour Is Your House All Ship Shape of Spring. And, you can achieve a sale this Spring by sticking to some and Bristol Fashion? tried and trusted tips and quick fixes. I’ve counted (now I’m way ahead of you) Spring is the traditional time of the year to put your property on the 5 top tips for moving home. market (other seasons are available of course). So if you’re minded, whatever the time of year, here’s how to get your house “All Ship Don’t Rush: Take your Time To Get Shape and Bristol Fashion” and ready for sale.
    [Show full text]
  • Single Survey
    Single Survey survey report on: Property address Ground Floor Right, 49 Glenbervie Road, Aberdeen, AB11 9JH Customer Mr N Henderson Customer address Prepared by Harvey Donaldson & Gibson Date of inspection 29th August 2019 Ground Floor Right, 49 Glenbervie Road, Aberdeen, AB11 9JH 29th August 2019 KR/JA Terms and Conditions PART 1 - GENERAL 1.1 THE SURVEYORS The Seller has engaged the Surveyors to provide the Single Survey Report and a generic Mortgage Valuation Report for Lending Purposes. The Seller has also engaged the Surveyors to provide an Energy Report in the format prescribed by the accredited Energy Company. The Surveyors are authorised to provide a transcript or retype of the generic Mortgage Valuation Report on to Lender specific pro-forma. Transcript reports are commonly requested by Brokers and Lenders. The transcript report will be in the format required by the Lender but will contain the same information, inspection date and valuation figure as the generic Mortgage Valuation Report and the Single Survey. The Surveyors will decline any transcript request which requires the provision of information additional to the information in the Report and the generic Mortgage Valuation Report until the Seller has conditionally accepted an offer to purchase made in writing. Once the Seller has conditionally accepted an offer to purchase made in writing, the Purchaser's lender or conveyancer may request that the Surveyors provide general comment on standard appropriate supplementary documentation. In the event of a significant amount of documentation being provided to the Surveyors, an additional fee may be incurred by the Purchaser. Any additional fee will be agreed in writing.
    [Show full text]
  • Referrals from Third Parties – Provision of Cost Information the CLC’S Interim Report and Conclusions January 2010
    Referrals from Third Parties – Provision of Cost Information The CLC’s Interim Report and Conclusions January 2010 Introduction 1. On 4 August 2009 a Call for Evidence was circulated to licensed conveyancers (see Annex 1) with a reminder sent on 17 September 2009. That stated: Concern has been expressed to the CLC that the procedures applied by some firms of estate agents to persuade buyers and sellers to instruct specific conveyancing firms are detrimental to the interests of consumers. In particular, there is concern that a buyer or seller may be persuaded to sign a form confirming details of a transaction which also has the effect of instructing a specific conveyancing firm. Initial Information about costs may be given by the estate agent followed by more detailed cost information from the conveyancing firm in its introductory letter to the client. At either stage, if these circumstances have been correctly reported, there may have been breach of the CLC’s Guidance Note on Estimates and Terms of Engagement. In addition, there is anecdotal evidence that the buyer or seller may also be asked by the estate agent to make a payment which is treated as a payment on account of costs or, in some cases, as a non-refundable deposit. Arguably, the buyer or the seller (having parted with money) may believe that they are committed to instructing a specific conveyancing firm. In the CLC’s view, sufficient information has been received to justify a wide ranging enquiry to find out whether these assertions are correct and, if so, how prevalent they are and to determine if any further action is necessary.
    [Show full text]